A Halifax landlord has been hit with a record fine for violating the municipality’s land-use bylaws.

Hanstholm Realty Inc. was fined $93,500 on Tuesday in Halifax provincial court for having more apartments in its building at 92 Parkland Dr. than it was permitted.

“I believe this is the largest land-use fine in Canadian history,” Josh Judah, who prosecuted the case for Halifax Regional Municipality, told The Chronicle Herald.

The previous highest fine was in the $30,000 range, he said.

The fine imposed Tuesday reflected the profit the company realized from the seven extra rental units between March 15, 2011, and July 30, 2012, plus a premium of 40 per cent, Judah said.

“The Crown’s position is that both specific and general deterrence are important in this circumstance,” the prosecutor said. “If you can profit from violating the law, why wouldn’t you continue to violate the law?”

The Clayton Park West building is assessed at $9.8 million. It’s allowed to have 101 units, according to the company’s 2001 development agreement with the city.

The illegal units came to the municipality’s attention in 2009, Judah said.

“There was a fair amount of back and forth between the planning office and the corporation,” he said.

“In the Clayton Park area, the density is divided up between the different buildings. The opportunity was there for this owner to purchase density from neighbouring buildings in order to resolve their problem. They could purchase the density, then go through the permit process and legalize the apartments.

“They didn’t do so, which resulted in charges being laid.”

Hanstholm pleaded guilty Tuesday to a charge of having additional rental units without first obtaining a development permit.

The municipality withdrew a charge of breaching a development agreement.

According to the Registry of Joint Stock Companies, the company’s president is Patricia Poulsen and its secretary is Thomas Poulsen. Charges against the Poulsens were also withdrawn Tuesday.

Halifax lawyer Tipper McEwan appeared in court on behalf of Hanstholm, which is based at an address on Upper Water Street in Halifax. He joined with the Crown in recommending the $93,500 fine to Judge Michael Sherar.

The company is now “well engaged” with the municipality’s planning office to resolve the problem, the prosecutor told the judge.

“My understanding is that the corporation has actually purchased the density from a neighbouring building,” Judah said outside court. “Now they have to go through the planning process and get that approved and get their permits.

“I’m confident they’re going to take care of their problem and we won’t be seeing this company back in court again.”